Groupon Inc (NASDAQ: GRPN) has seen a decline in its stock price by -1.33 in relation to its previous close of 11.25. However, the company has experienced a -3.31% decline in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-10 that Groupon (GRPN) is technically in oversold territory now, so the heavy selling pressure might have exhausted. This along with strong agreement among Wall Street analysts in raising earnings estimates could lead to a trend reversal for the stock.
Is It Worth Investing in Groupon Inc (NASDAQ: GRPN) Right Now?
Additionally, the 36-month beta value for GRPN is 1.67. There are mixed opinions on the stock, with 4 analysts rating it as a “buy,” 1 rating it as “overweight,” 8 rating it as “hold,” and 5 rating it as “sell.”
The public float for GRPN is 20.95M and currently, short sellers hold a 19.77% ratio of that float. The average trading volume of GRPN on April 11, 2024 was 1.21M shares.
GRPN’s Market Performance
The stock of Groupon Inc (GRPN) has seen a -3.31% decrease in the past week, with a -36.79% drop in the past month, and a -18.32% fall in the past quarter. The volatility ratio for the week is 5.62%, and the volatility levels for the past 30 days are at 9.08% for GRPN. The simple moving average for the last 20 days is -19.10% for GRPN stock, with a simple moving average of -8.02% for the last 200 days.
Analysts’ Opinion of GRPN
Many brokerage firms have already submitted their reports for GRPN stocks, with ROTH MKM repeating the rating for GRPN by listing it as a “Buy.” The predicted price for GRPN in the upcoming period, according to ROTH MKM is $30 based on the research report published on October 13, 2023 of the previous year 2023.
Goldman, on the other hand, stated in their research note that they expect to see GRPN reach a price target of $11, previously predicting the price at $12.10. The rating they have provided for GRPN stocks is “Sell” according to the report published on July 15th, 2022.
GRPN Trading at -29.12% from the 50-Day Moving Average
After a stumble in the market that brought GRPN to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -43.25% of loss for the given period.
Volatility was left at 9.08%, however, over the last 30 days, the volatility rate increased by 5.62%, as shares sank -40.26% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -22.38% lower at present.
During the last 5 trading sessions, GRPN fell by -3.31%, which changed the moving average for the period of 200-days by +102.19% in comparison to the 20-day moving average, which settled at $13.35. In addition, Groupon Inc saw -13.55% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GRPN starting from Senkypl Dusan, who purchase 137,946 shares at the price of $9.74 back on Nov 20 ’23. After this action, Senkypl Dusan now owns 7,040,310 shares of Groupon Inc, valued at $1,343,427 using the latest closing price.
Senkypl Dusan, the Interim CEO of Groupon Inc, purchase 24,803 shares at $9.50 during a trade that took place back on Nov 17 ’23, which means that Senkypl Dusan is holding 6,902,364 shares at $235,616 based on the most recent closing price.
Stock Fundamentals for GRPN
Current profitability levels for the company are sitting at:
- -0.02 for the present operating margin
- 0.88 for the gross margin
The net margin for Groupon Inc stands at -0.11. The total capital return value is set at -0.06. Equity return is now at value -584.21, with -8.12 for asset returns.
Based on Groupon Inc (GRPN), the company’s capital structure generated 1.17 points at debt to capital in total, while cash flow to debt ratio is standing at -0.28. The debt to equity ratio resting at -6.8. The interest coverage ratio of the stock is -0.75.
Currently, EBITDA for the company is 40.97 million with net debt to EBITDA at 3.18. When we switch over and look at the enterprise to sales, we see a ratio of 1.06. The receivables turnover for the company is 9.24for trailing twelve months and the total asset turnover is 0.9. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.65.
Conclusion
In conclusion, Groupon Inc (GRPN) has seen bad performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
